Setting Up A Retail Organization

1. Setting Up A Retail
Organization
Dr. Gopal Thapa
Tribhuvan University
Email:thapazee@gmail.com

2. Setting Up A Retail Organization
 Through a retail organization, a firm structures
and assigns functions, policies, resources, authority, responsibility, and rewards to
effectively and efficiently satisfy the needs of its
target market, employees and management.
 A firm can not survive unless its organization
structure satisfies the target market, regardless of
how well employee and management needs are
met
 Although many retailers do similar tasks or
functions(buying, pricing, displaying, and wrapping merchandising) there are
many ways of organizing to perform these
functions.

3. Process of setting up a retail
organization
 Specifying tasks to be performed
 Dividing tasks among channel members and
customers
 Grouping tasks into jobs
 Classifying jobs
 Developing an organizational chart

4. Specifying tasks to be performed
 Buying, shipping, receiving, checking
merchandise
 Setting prices, marking merchandise, inventory
control
 Preparing merchandise and window display
 Cleaning, repairing, follow up, complaint handling
 Billing, handling receipts, financial records, credit
management
 Gift wrapping, delivery, returning unsold or
damaged merchandise
 Personnel management, coordination, sales

5. Dividing tasks among channel
members and customers
 Retailer
 Manufacturer/ wholesaler
 Specialists (buying office, delivery firm, warehouse, marketing research, ad agency,
credit bureau etc.)
 Consumer (delivery, cash/credit purchase, self service, do it yourself)

6. Grouping tasks into jobs
 Display, customer contact, gift wrapping, follow
up –Sales personnel
 Entering transaction data, cash handling, credit –
Cashier
 Receiving, handling, checking, shipment,
returning and control of merchandise – Inventory manager
 Window dressing, interior display, mobile display
– Display personnel
 Employee management, sales forecasting,
budgeting, pricing, coordinating –Management personnel

7. Classifying jobs
 Functional classification – Buying, sales promotion, store operation
 Product classification – goods or services
 Geographic classification- location, area
 Combination classification – location + goods

8. Developing an organizational chart
 Flat organization
 Tall organization
 Hierarchy of authority
 Coordination and control

9. Any Queries?
Thank You
4/11/2018 Copy right reserved 9